JABAR EKSPRES – Woori Saudara Bank (BWS) analyst Rully Nova said the rupiah weakened against the US dollar at the close of trading on Monday afternoon due to the strengthening of the US dollar index and two-year US government bond yields.
“The US dollar index and bond yields strengthened along with expectations that the Fed’s future policy is expected to remain hawkish (high interest rates),” he said when asked by Antara, Jakarta, Monday.
However, expectations of higher global economic growth from the Organization for Economic Co-operation and Development (OECD) have provided positive sentiment for the rupiah, so that the rupiah’s weakening is not too deep.
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“Growth expectations from the OECD put Indonesia as one of the countries with the highest economic growth,” he said.
According to him, attention to the news of OECD growth expectations was mentioned in the absence of US economic data released. “Going forward, market players will again focus on US inflation data on June 13 and the results of the Fed meeting as of June 14, 2023,” said Rully.
At the close of trading on Monday, the rupiah weakened 0.15 percent or 22 points to Rp14,862 per US dollar from Rp14,840 per US dollar previously.
Throughout the day, the rupiah moved from Rp14,855 per US dollar to Rp14,902 per US dollar.
